AFG: Energy Sector Development Investment Program Tranche 4 (New Andkhoy 220/110/20 KV Substation Project)

Transcription

1 Resettlement Due Diligence Report February 2018 AFG: Energy Sector Development Investment Program Tranche 4 (New Andkhoy 220/110/20 KV Substation Project) Prepared by Da Afghanistan Breshna Sherkat for the Asian Development Bank.

2 This resettlement due diligence report is a document of the recipient. The views expressed herein do not necessarily represent those of ADB's Board of Directors, Management, or staff, and may be preliminary in nature. Your attention is directed to the terms of use section of this website. In preparing any country program or strategy, financing any project, or by making any designation of or reference to a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area.

3 1 Nanning Urban Environment Upgrading Project Safeguards Due Diligence Report: Involuntary Resettlement ISLAMIC REPUBLIC OF AFGHANISTAN DA AFGHANISTAN BRESHNA SHERKAT (DABS) Energy Sector Development Investment Program ESDIP Tranche 4 Contract No-DABS/010/ICB DUE DILIGENCE REPORT (DDR) (Negotiated Land Acquisition) For Construction of New Andkhoy 220/110/20 KV Substation January 2018

4 DOCUMENT REPORT CONTROL FORM Project Name: Energy Sector Development Investment Program (ESDIP) Tranche - 4 Report: Due Diligence Report Project No: Report for: a) DA AFGHANISTAN BRESHNA SHERKAT (DABS) b) ASIAN DEVELOPMENT BANK (ADB) PREPARATION, REVIEW AND AUTHORISATION Revision # Date Prepared by Reviewed by Approved for Issue 0 January 2018 Muhammad Khalil Muhammad Khalil Kamal Basnet ISSUE REGISTER Distribution List Date Issued Number of Copies Client: Da Afghanistan Breshna Sherkat -DABS January Asian Development Bank-ADB January SMEC Project File: January Hard copies 1 Electronic copy CD 1 Hard Copy 1 Electronic Copy 1 Hardcopy 1 Electronic copy Abstract SMEC have been appointed by DAB/ADB to undertake Project Management and Implementation Consultant for ESDIP-Tranch 4. Contract signed : 31 April Service Period : 30-Months. Contract Effective Date: 19 January Inspections Report Submitted : 5 April Monthly & Quarterly Progress reports are being submitted regularly. Due Diligence Report (Social-Safeguard) for 220KV/110/20KV Shebergan Substation-October Due Diligence Report (Social-Safeguard) for 220KV/110/20KV Mazar-e-Sharif Substation- October-2016 Land Acquisition and Resettlement Plan 500 kv Aquina Sheberghan S/C OHL December st Monitoring Report on LARP Preparation and Implementation (From the beginning of the project to December 2017)- January 2018 The information within this documents is and shall remain the property of DABS SMEC International Pty Ltd

5 SMEC EDIP Tranche-4 Office DABS Head Quarter Chaman Housori Kabul, Afghanistan Website: Table of Contents 1. Introduction Scope of Due Diligence Report (DDR) Location of Sub-Project Rationale for the Due Diligence Report Legal and Policy Framework Policy and Legal Framework for Land Acquisition and Resettlement Land Acquisition and Resettlement Legislation in Afghanistan Relevant LAR related Provisions from the LAL ADB s Policy on Involuntary Resettlement Gap Analysis between Afghanistan s LAL and ADB IR Policy Remedial Measures to Bridge the Gap SPS 2009 on Negotiated Land Acquisition Land Requirements for the Substation Purchase of Land for the Substation by DABS Land and Resettlement (LAR) Impacts of the Andkhoy SS Institutional Arrangements for Safeguards Compliance Way Forward Annexures Annex-1: Proceedings of Purchase of Land by the Land Purchase CommitteeEEE..15 Annex-2: Proceedings of Purchase of Land by the Land Purchase CommitteeEEE..17 Annex-3: Handing Over Report of 40,000m 2 Land for Andkhoy SubstationEEEEE.26

6 Annex-4: Letter Concerning Purchase Deed of Land for Andkhoy SubstationEEEE32 Figures: Figure-1: Figure-2: Location of New Andkhoy Substation Project Institutional Arrangements for Safeguards Compliance GLOSSARY

7 ADB NEPA AF AP DABS NEPS CSC TA DMS EA EMA IoL kv LAR LARF LARP MFF NEPS NGO NOC PMO PMPI RP SMEC SPS TL TOR HH : Asian Development Bank : National Environment Protection Agency : Affected Family : Affected Person : Da Afghanistan Breshna Sherkat : Northren Electrical Power System : Construction Supervision Consultants : Technical Assistace : Detailed Measurement Survey : Executing Agency (DABS) : External Monitoring Agency : Inventory of Losses : Kilo volt : Land Acquisition and Resettlement : Land Acquisition and Resettlement Framework : Land Acquisition and Resettlement Plan : Multitranche Financing Facility : North Eastern Power System : Nongovernment Organization : No Objection Certificate : Project Management Office : Project Management and Project Implementation : Resettlement Plan : Snowy Mountains Engineering Corporation : Safeguard Policy Statement : Transmission Line : Terms of Reference : Household

8 1. Introduction Land And Resettlement DDR: Andkhoy 220/110 kv Substation January, The Asian Development Bank (ADB) financed Energy Sector Development Investment Program (ESDIP) is being implemented in Afghanistan under a Multi-tranche Financial Facility (MFF). The MFF has been divided into a number of tranches. Each of the program s tranches constitutes a project which, in turn, has been divided into several subprojects involving the construction of the power transmission and distribution. 2. The Tranche-4 of the MFF of the Energy Sector Development Investment Program (ESDIP) is part of the North East Power System (NEPS) that connects northern and eastern Afghanistan, and also facilitates power import from Tajikistan, Uzbekistan and Turkmenistan. The project involves the design, supply, installation, and commissioning of the following subprojects: 3. Transmission Lines: i) A new 500 kv Transmission Line of approximately 91 kilometers (km), from the international border between Afghanistan and Turkmenistan to Andkhoy, and from Andkhoy to Sheberghan, and ii) A new 220 kv Transmission Line of approximately 156 km from Sheberghan to Mazar-e-Sharif 4. Substations: i) A new 220 kv Substation at Andkhoy and Sheberghan, and ii) An Expansion of the existing 220 kv Substation at Mazar-e-Sharif 5. Distribution Networks: i) New Distribution Networks comprising 20 kv and Low Voltage Distribution Lines and Power Connections at Pul-e-Alam to achieve approximately 13,000 new household connections, and ii) New Distribution Networks comprising 20 kv and Low Voltage Distribution Lines and Power Connections at Gardez and Wazai Zadran to achieve approximately 18,000 new household connections and iii) New Distribution Networks comprising 20 kv and Low Voltage Distribution Lines and Power Connections at Khost to achieve approximately 13,000 new household connections. 6. Institutional Support : The project will also provide project management and implementation support for Da Afghanistan Breshna Sherkat (DABS) 7. The subproject will be implemented by the DABS as the executing agency (EA) through its Program Management Office (PMO), supported by a Program Management and Project Implementation Consultants (PMPIC) for the subproject. 2. Scope of Due Diligence Report (DDR) 8. This DDR relates to the Andkhoy 220/110/20 KV Substation. The DDR has been prepared by DABS through the CSC to substantiate that the land required for the substation has been purchased from one person and full payment was made and was witnessed by the commission. 3. Location of Sub-Project 9. The proposed subproject is located in Andkhoy District of Faryab Province. The town is located at 'N and 'E, 316 m (1037 ft) altitude. The new substation site is situated at approximately 5 km on the eastern side of the Andkhoy town. The approximate population of the town is 37,100. The district is located in the northern part of Faryab province. The Province is located in the north of Afghanistan bordering neighboring country Turkmenistan. Location of the Andkhoy SS is shown in Figure-1 and Lay out Plan is provided in Figure-2.

9 Figure-1: Location of New Andkhoy Substation Project Figure-2 Lay Out Plan of New Andkhoy Substation Project Coordinates of Andkhoy New Substation

10 Sn Corner Points Easting Northing Elevation 1 P P P P Rationale for the Due Diligence Report 10. The ADB Safeguards Policy Statement (SPS) 2009 and the provisions of ADB approved Land Acquisition and Resettlement Framework (LARF) for the MFF (that was revised/ updated by the DABS and was posted on the ADB website in September 2013) require the preparation of a Land Acquisition and Resettlement Plan (LARP) if the subproject involves the involuntary land acquisition and resettlement impacts. In case of absence of land and resettlement impacts, a Due Diligence Report (DDR) is required. However, the land for the Andkhoy 220/110/20 KV Substation has been purchased by the DABS on negotiated price. To comply with the requirements of the SPS 2009 on Negotiated Land Acquisition and the provisions of ADB approved LARF, the DDR for the substation has been prepared by DABS through the CSC to provide information on presence of any LAR issues related to the construction of new substation. 5. Legal and Policy Framework 5.1 Policy and Legal Framework for Land Acquisition and Resettlement 11. The policy framework for the Project is based on Land Acquisition Law of Afghanistan; and the ADB policy on Involuntary Resettlement as embedded in the approved Land Acquisition and Resettlement Framework (LARF) for the MFF. 5.2 Land Acquisition and Resettlement Legislation in Afghanistan 12. There is no country specific resettlement policy in Afghanistan. A comprehensive land policy was approved in 2007 by the Cabinet, but it has yet to be fully operationalized. The new Constitution of Afghanistan was ratified in early It has 3 articles that closely relate to compensation and resettlement. 5.3 Relevant LAR related Provisions from the LAL 13. For the purpose of public interest like the establishment/ construction of public infrastructure and facilitation for acquisition of land with cultural or scientific values, land of higher agricultural productivity, large gardens, LAL provides that: The acquisition of a plot or a portion of plot, for public interest is decided by the Council of Ministers and will be compensated at fair value based on the current market rates (section 2). The acquisition of a plot or part of it should not prevent the owner from using the rest of the property or hamper its use. If this difficulty arises, the whole property will be acquired (section 4). The right of the owner or land user will be terminated 3 months prior to start of civil works on the project and after the proper reimbursement to the owner or person using the land has been made. The termination of the right of the landlord or the person using

11 the land would not affect their rights on collecting their last harvest from the land, except when there is emergency evacuation (section 6). In case of land acquisition, the following factors shall be considered for compensation: value of land; value of houses, buildings and the land; values of trees, orchards and other assets on land (section 8). The value of land depends on the category and its geographic location (section 11). A person whose residential land is subject to acquisition will receive a new plot of land of the same value. He has the option to get residential land or a house on government property in exchange, under proper procedures (section 13). It can be arranged with the owner if he wishes to exchange his property subject to acquisition with government land. The difference on the values of land will be calculated (section 15). The values of orchards, vines and trees on land under acquisition shall be determined by the competent officials of the municipality (section 16). When a property is evaluated at the current rate at the locality concerned, the owner or his representative must be present at the time of measuring and evaluation of the property It is Afghan practice to recognize traditional or informal land rights Compensation and rehabilitation is provided before the land is acquired 5.4 ADB s Policy on Involuntary Resettlement 14. ADB s Involuntary Resettlement Policy as embedded in Safeguard Policy Statement (SPS) 2009 provides comprehensive guidance on complying with the requirements for environmental and social safeguards (involuntary resettlement and Indigenous Peoples) in Projects. It aims to avoid or minimize the impacts on people affected by a project, and to provide support and assistance for those who lose their land and property, as well as for others whose livelihoods are affected by the acquisition of land or restriction on land use. Resettlement planning is designed to provide DPs with a standard of living equal to, if not better than, that which they had before the project. The policy is guided by the following principles: Involuntary resettlement is to be avoided or at least minimized to the possible extent; Compensation must ensure the maintenance or improvement of the DPs pre-project living standards; DPs should be fully informed and consulted on compensation options; DPs socio-cultural institutions should be supported/used as much as possible; Compensation should be carried out with equal consideration of women and men; Lack of formal legal land title should not be a hindrance to assistance/rehabilitation; Particular attention should be paid to households headed by women and vulnerable groups, such as indigenous people and ethnic minorities, and appropriate assistance should be provided to help them improve their status; Land acquisition and resettlement should be conceived and executed as a part of the Project, and the full costs of compensation should be included in project costs; Compensation/rehabilitation assistance will be paid prior to ground levelling and demolition, and in any case, before an impact occurs. 15. A project s involuntary resettlement category is determined by the category of its most sensitive component in terms of involuntary resettlement impacts. The involuntary

12 resettlement impacts of an ADB-supported project are considered significant if 200 or more persons will experience major impacts, which are defined as (i) being physically displaced from housing, or (ii) losing 10% or more of their productive assets (income generating). The level of detail and comprehensiveness of the resettlement plan are commensurate with the significance of the potential impacts and risks. In case of no LAR issues, a Due Diligence Report (DDR) is prepared. 5.5 Gap Analysis between Afghanistan s LAL and ADB IR Policy 16. The Land Acquisition Law (LAL) of Afghanistan and the ADB policy diverge on some key points related to the compulsory acquisition of land. The LAL does not require adequate consultation with affected parties; it simply requires that declaration and notice be given about temporary use of land or acquisition or resumption of land (lease) and the purposes for which it is required. Nor does the LAL require preparation of a documenting process, consultations with DPs, or any specification of procedure for the acquisition and compensation. Finally, the LAL does not entitle to compensation DPs without title nor provides compensation for income losses caused by LAR. Table-1 presents the differences between the LAL and the ADB safeguards; and identifies the resolutions taken on this LARP to reconcile the gaps. Any difference between Afghanistan law and ADB policy will be resolved in favour of the latter. Table - 1: Comparison of ADB s IR Policy and the LAL of Afghanistan ADB Resettlement Policy Land Acquisition Law (LAL) Remarks/Resolution AF should be fully informed and consulted in resettlement and compensation options. DPs should be compensated for all their losses at replacement cost. Lack of formal land title should not be a bar to compensation or rehabilitation. National legislation does not provide for public consultation Land acquisition for public interest is to be compensated based on equal/fair value according to the current market rates or land x land proceedings. LAL provides for compensation only for those who have titles and do not recognize compensation to (encroachers or squatters). The LARF provides for consultation and information dissemination/ disclosure. For this substation, land has been purchased by the DABS at negotiated market value. Since market value is a way to assess compensation at replacement rate there is no opposition on this point between Afghanistan law and ADB policy; The LARF provides that all DPs with title, deeds or without these who are considered as legitimate owners of the land by the local Jirga or community development councils will be compensated. Only encroachers who are not recognized as legitimate land holders by Jirga and community councils will not be compensated. However they will receive compensation for all other assets. The land purchased for the substation was free of any encroachments.

13 ADB Resettlement Policy Land Acquisition Law (LAL) Remarks/Resolution DPs should be timely compensated The DPs should be compensated and/or assisted, so that their economic/social future is generally as favourable as it would have been without the Project. According to the provisions of LAL, land owners/users rights on a plot will be terminated 3 months prior to start of civil works and after compensation is given to them. The termination of the owner/user right would not affect their rights to collect their last harvest from the land, except if there is emergency LAL do not provide for rehabilitation compensations. 5.6 Remedial Measures to Bridge the Gap The LARP provides for crops compensation whether they have been harvested or not; to avoid civil works delays and pressures on land users to harvest a crop before it is fully ripe. Land users harvesting their crops after notification of the land occupation date will not lose any part of their due compensation. The purchased piece of land was uncultivated and there was no crop grown. The LARF provides that compensation will be provided for crops in the RoW and under tower/pole bases. The LARF also provides for assistance to vulnerable and for those DPs to be relocated. The owner of the land has been compensated at negotiated replacement costs. 17. In principle, Afghanistan s Laws and ADB Policy adhere not only to the objective of compensation for affected families, but also to the objective of rehabilitation. However, to clarify certain issues and reconcile eventual gap between Afghanistan s Law and ADB Policy, the DBAS prepared a Land Acquisition and Resettlement Framework (LARF) for the Program, ensuring compensation at replacement cost of all items, the rehabilitation of informal settlers, and the provision of subsidies or allowances for AHs that may be dislocated, suffer business losses, or may be severely affected. The present LARP has been prepared based on the ADB approved LARF. 5.7 SPS 2009 on Negotiated Land Acquisition 18. Safeguard Requirements 2 does not apply to negotiated settlements, unless expropriation would result upon the failure of negotiations. Negotiated settlements help avoid expropriation and eliminate the need to use governmental authority to remove people forcibly. The client is encouraged to acquire land and other assets through a negotiated settlement wherever possible, based on meaningful consultation with affected persons, including those without legal title to assets. A negotiated settlement will offer adequate and fair price for land and/or other assets. The client will ensure that any negotiations with displaced persons openly address the risks of asymmetry of information and bargaining power of the parties involved in such transactions. For this purpose, the client will engage an independent external party to document the negotiation and settlement processes. The client will agree with ADB on consultation processes, policies, and laws that are applicable to such transactions; third-party validation; mechanisms for calculating the replacement costs of land and other assets affected; and record-keeping requirements.

14 6. Land Requirements for the Substation 19. According to the original design of transmission line that was prepared by the Fichtner, the existing Andkhoy Substation was to be connected from the last angle tower of the 500 kv TL. There was a distance of 4-5 km between the last angle tower and the substation. The connecting line had to cross the populated residential areas and cultivated agricultural lands. There was also a requirement to have an access to the 60m RoW to cope with any maintenance issues. Obviously, the structures and land was to be acquired resulting in the physical and economic displacement of a number of households. This could make a heavy pressure on the national exchequer besides giving rise to the social unrest among the local communities for an unfavorable environment for the construction of the project. Owing to these reasons the Consultants suggested to change the route of the connecting line avoiding the populated residential areas and construction of substation on a new location. This was considered as the better choice to avoid both physical and economic displacement and an economical alternative from social and economic considerations. 7. Purchase of Land for the Substation by DABS 20. After detailed deliberations between the DABS, Consultants and the Contractor, DABS approved the purchase of a plot of land measuring to 40,000m 2 for the substation. A land purchase committee comprising of Director DABS, Andkhoy and Deputy Director, Finance and Administration, DABS, Andkhoy was formed. The land requirements for the substation were advertised through local media. Simultaneously a letter was sent to Faryab Province government on to appoint a board for the monitoring/ overseeing the land purchase process. The Faryab Governor appointed a land purchase committee under chairmanship of the Andkhoy District Governor, comprising of the following members. i) Representative of the Faryab Urban Development Department, ii) Representative of Topography Survey Office, iii) Representative of Land Directorate, iv) Representative of Provincial Council, v) Andkhoy mayor, and vi) Representative of Andkhoy National Security Department. 21. In response to the first advertisement, Mr. Sayed Ekram son of Hasan Khwaja resident of Yangi Tigirman village of Andkhoy district NIC No: book: 1st, page: 143, reg: 715 attorney of Hasan Khwaja heirs/heiresses offered to sell a piece of his uncultivated agricultural land. Being receiving response from only one interested person, DABS land purchase committee, re-advertised the land requirements for the new SS through media to invite more applicants, but unfortunately no one came up to sell land. 22. The DABS land purchase committee sent inquiry letters to concerned organizations for getting information about the land price in that area, with the approval of the appointed board. As per information provided by these organizations, the per Jerib (2000m 2 ) price of land in that area ranged from US$ 10, US$ 12, or equivalent Afghani. As a result, on 19/Jan/2017, the land purchase committee held a meeting with the land owner Mr. Sayed Ekram son of Hasan Khwaja. After detailed discussions, the price of said piece of land was agreed mutually as Afghani 700, per Jerib with total price of 40,000m 2 of land as Afghani million. The consent of the owner of land to this extent is provided as Annex- 1.The purchased piece of land has the following merits.

15 i) The land was owned by one person who was willing to sell his land to DABS for the construction of substation. ii) The connecting 500kV transmission line would pass over the agricultural lands with no crops at present, and would not affect any populated residential areas. iii) No physical or economic displacement would involve. View of Consultations with the Land Owner 23. The proceedings of the purchase of land for the SS by the land purchase committee are provided in Annex-2. The committee sent its recommendations to the DABS to start the legal process for the purchase of proposed piece of land. Based on recommendations of purchase committee, the cost of land was paid by the DABS and the land was handed over by the owner of land to the local DABS (refer Annex-3). Meanwhile after completing the legal obligations, the ownership of land, free of all encumbrances, was transferred in favour of DABS by the District Land Department vide Registered No dated as shown vide Annex-4. Table-2: Check List about Piece of Land acquired through Negotiated Settlement Sr. No. Affected Item Units to be Purchased Agreed Price 1 Agricultural Land 40,000m Afghani/m 2 2 Type of Land Uncultivated 3 House/ Structures to be Demolished (Unit/ sq.m) Nil 4 Crops or Trees to be Affected Nil 5 Other Fixed Assets Affected Nil 8. Land and Resettlement (LAR) Impacts of the Andkhoy SS 24. The proposed Substation site is a property of DABS. It is located about 5 km from the Andkhoy town in the east. The substation will not impact any structures or assets. The construction of substation will not cause any restrictions on present land use or on access to legally designated parks and protected areas. Further, it has been already been established

16 vide Project Data Sheet (PDS), that impacts on indigenous peoples are not envisaged in case of Trance-4 of ESDIP Institutional Arrangements for Safeguards Compliance 25. DABS has the overall responsibility for the Program including preparation, implementation and financing of all Land and Resettlement (LAR) tasks and cross-agency coordination. DABS is executing the Program related activities through a Project Management Office (PMO). 26. The PMO is responsible internally to monitor LARP preparation and implementation (including surveys, asset valuation, and community consultation), LAR-related crossagency/inter-departmental coordination with the Ministry of Agriculture, Irrigation and Livestock (MAIL), Cadaster Survey Department, local Governments, NGOs, the community shuras and locally elected councils; preparation of internal monitoring reports, and other LAR tasks, as assigned. The responsibilities also include to ensure the availability of required budget for the implementation of LARP. 27. The PMO is supported by the CSC to manage and undertake LAR activities. The CSC are assisting in LAR planning, preparation and approval of LARP, implementation of LARP, internal & external monitoring, and LAR training as per ADB resettlement policy requirements. The CSC has engaged one international and one national resettlement specialist to assist the PMO on all LAR related tasks and to liaise with the contractor to ensure smooth implementation of related social / resettlement requirements. The existing institutional arrangements at DABS are shown in Figure-2. Figure-2: Institutional Arrangements for Safeguards Compliance 1 ADB : Energy Sector Development Investment Program - Tranche 4 Project Data Sheet (PDS) DABS -PMO

17 ADB CSC Resettlement Team (1x International Resettlement Specialist 1x National Resettlement Specialist) EMA Provincial DABS- PMO staff Affected Families/ DPs 10. Way Forward 28. The Due Diligence concludes that the proposed site for the construction of Andkhoy substation is a DABS property and is free from any LAR issues. Hence no LARP is required and the contractor may be given go ahead for the construction works.

18 Annexures

19 Annex-1 Sheet 1 of 2 Consent of the Land Owner about Price of Land

20 Consent of the Land Owner about Price of Land (English Translation of Sheet-1) Annex-1 Sheet 2 of 2 Andkhoy Breshna Sherkat SUBSTATION LAND S PRICE CONFIRMATION BOARD Inquiry Date Reply To: Sayed Akram son of Hasan Khwaja legal attorney of Hasan Khwaja s heir/heiress! With reference to the meeting dated: 19/Jan/2017 which you attended regarding the price of the land for establishing substation and after discussion between you and the assigned board, the price of per Jerib land (2000m 2 ) was appointed (Afs ) based on mutual consents. Therefore you are requested to express your agreement regarding the above mentioned price and transaction. Regards, Signed by: The assigned board Dear Sir! I, Sayed Akram hereby agree regarding the mentioned price of the land. Regards, Fingerprint of Sayed Akram

21

22 Annex-2 Sheet 1 of 9 Proceedings of Purchase of Land by the Land Purchase Committee

23 Annex-2 Sheet 2 of 9 Proceedings of Purchase of Land by the Land Purchase Committee

24 Annex-2 Sheet 3 of 9 Proceedings of Purchase of Land by the Land Purchase Committee (English Translation of Sheet-1 & 2) The assigned board report regarding confirmation of (40,000m 2 ) land price for establishment of 220/110kv substation Date: 05/Feb/2017 To Faryab Province Government, Based on proposals of Andkhoy Breshna Sherkat and decree dated:27/mar/2016, 31/Oct/2016 of Province government and letter No: 1960/1550 dated: 15/Jan/2017 of Faryab province HR office, we the board comprising representatives of Urban development, Topography, Lands directorate, provincial council, Andkhoy municipality, National security, Andkhoy Breshna Sherkat under supervision of Andkhoy District Government have been appointed and visited the land of Hasan Khwaja heirs/heiresses, as the land was observed it was located 3 kilometers far from Andkhoy Chawk Bazar Jay 305 meter far from Sheberghan road northeast, furthermore the land was included in Municipality developmental area detailed plan. We inquired regarding the land from municipality authorities including Haji Mohammad Ismail. He told that the area where land for the new substation is situated, includes in the development plan of the urban development department. We the assigned board holding meetings and discussion intended to observe all law and regulation and tried to carry out our tasks faithfully inquired through inquiry letter from village elders, property office, land evaluation committee and Andkhoy municipality regarding the land price, furthermore we holding meeting at Andkhoy district government office unanimously agreed on land price as per Jirib (2,000m 2 ) Afs. so, if the respected authorities approve, DABS would pay the land price to the landowner. Regards, Habibullah representative of Lands Department [Signed] Sultan Mohammad Sanjar Andkhoy district governor Provincial council [Signed] Engineer Munir Ahmad representative of Urban Development Municipality [Signed] Mohammad Asif representative of National Security Breshna Abdul Qudoos Director of tophography [Signed] Engineer Rouzi representative of [Signed] Ghulam Sakhi representative of [Signed] Shahabudin representative of Andkhoy

25 Annex-2 Sheet 4 of 9 Proceedings of Purchase of Land by the Land Purchase Committee

26 Annex-2 Sheet 5 of 9 Proceedings of Purchase of Land by the Land Purchase Committee (English Translation of Sheet-4) Da Afghanistan Breshna Sherkat Balkh Breshna Sherkat Regional Authority - Andkhoy Breshna Sherkat Department Correspondence Office Proposal Date Decree To Faryab Province Government, Dear Sir, As you are aware, in order to develop power supplying in north provinces, particularly in Faryab province, a 220/110/20 kv substation is going to be established. Therefore, based on DABS General Authority decree; 20 Jirib (40,000m 2 ) land near to Andkhoy existing substation had to be purchased and submitted to DABS. Subsequently, this office advertised its requirement through local media and simultaneously sent proposal letter dated: 27/Mar/2016 and 31/Oct/2016 to Faryab Province government to appoint a board for evaluation of the land price. Then the Faryab governor, appointed a combined board comprising representative of Faryab urban development department, representative of topography, representative of land directorate, provincial council, Andkhoy mayor, Andkhoy national security under supervision of Andkhoy district governor. Then In response to the first advertisement, Mr. Sayed Ekram son of Hasan Khwaja resident of Yangi Tigirman village of Andkhoy district NIC No: book: 1st, page: 143, reg: 715 attorney of Hasan Khwaja heirs/heiresses attended to sell his land at the mentioned district. Andkhoy Breshna Sherkat re-advertised the issue through media to invite more applicants, but unfortunately no one attended to sell land at mentioned area, therefore, Andkhoy Breshna taking signature of the appointed board, sent separately inquiry letters to concerning organizations to get information regarding the land price in that area. The concerning organizations provided information regarding the land price as per Jirib (2,000m 2 ) ($10,000 to $12,000) or equivalent to Afs. As a result, on 19/Jan/2017, the board under supervision of Andkhoy district held a meeting which Mr. Sayed Ekram son of Hasan Khwaja presented. After discussion and bargaining the price of land determined as per Jirib (2,000m 2 ) Afs total amount Afs. Therefore, the issue presented to you for your kind guidance and the document of pricing process within (55) pages presented to you for your guidance and decree. Regards, Ghulam Sakhi Wakilzada Andkhoy Breshna Sherkat Director [Signed] To Faryab Government! The proposal of Andkhoy Breshna is approved and forwarded to you. Sultan Mohammad Sanjar Andkhoy District Governor [Signed] Remarked! 07/Feb/2017 It should be forwarded to Province Administrative Council. Sayed Anwar Sadat Faryab Province Governor [Signed] Province Administrative Council Approval No(79) dated: 07/Feb/2017 The Province Administrative Council approved the land price and advised to go ahead with procedure in accordance with law and regulation. Province Administrative Council signatures : Signatures at the back of letter Remarked! 07/Feb/2017 Sayed Anwar Sadat Faryab Province Governor [Signed]

27 Annex-2 Sheet 6 of 9 Proceedings of Purchase of Land by the Land Purchase Committee

28 Annex-2 Sheet 7 of 9 Proceedings of Purchase of Land by the Land Purchase Committee (English Translation of Sheet-6) Islamic Republic of Afghanistan Independent Directorate of Local Governance - Faryab Province Council General Office No:337 Date: 09/Feb/2017 To Andkhoy Breshns Sherkat, The documents attached to letter No( 218)dated: 27/Jan/2017 of your correspondence office regarding the price of 20 Jirib (40,000m 2 ) land which was purchased from Sayed Ekram as per Jirib ((2,000m 2 ) Afs by the appointed board establishment of substation in Ankdkhoy district after approval No(79) dated: 07/Feb/2017 of province administrative council within (155) pages resent to you for further process. Regards, Sayed Anwar Sadat Faryab province Governor [Signed]

29 Annex-2 Sheet 8 of 9 Proceedings of Purchase of Land by the Land Purchase Committee

30 Annex-2 Sheet 9 of 9 Proceedings of Purchase of Land by the Land Purchase Committee (English Translation of Sheet-8) Da Afghanistan Breshna Sherkat Balkh Breshna Sherkat Regional Authority - Andkhoy Breshna Sherkat Department Correspondence Office No: 220/183 Date: 02/Mar/17 To Da Afghanistan Breshna Sherkat, As you are aware, in order to strengthen Faryab and Jawzjan power, a 220/110/20 kv substation is to be established in Andkhoy district. Therefore based on letter No: (104) dated:05/feb/2014, letter No:(1672) dated:21/jul/2016, dated:18/jul/2016 of PMO as well as letter No:(43164) dated:04/jun/2016 of Breshna Operational Department, the appointed engineers determined 20 Jirib (40,000m 2 ) land in an appropriate place located at the northeast of 110/6 kv the old substation of Andkhoy and the document including guidance, letters, proposals, map and design, advertisements, land price confirmation and approval of administrative council of Faryab province government under supervision of combined board comprising of representatives of Faryab urban development, topography, lands directorate, provincial council, national security directorate, Andkhoy municipality and Andkhoy Breshna Sherkat under presidency of Andkhoy district governor was prepared and processed legally. This is remarkable to state that the final price of 20 Jirib (40,000m 2 ) land property of Mr. Sayed Ekram son of Hasan Khwaja located in Andkhoy Twachi was confirmed by the appointed board as per Jirib (2,000m 2 ) Afs, totally Afs and Faryab province governor approved it at meeting dated: 07/Feb/2017. Therefore, the issue forwarded to you for further process. Whereas there is not enough budget in Andkhoy Breshna, so you are requested to provide the above mentioned amount from DABS budget to pay the land seller. Regards, Ghulam Sakhi Wakilzada Andkhoy Breshna Sherkat Director [Signed]

31 Annex-3 Sheet 1 of 6 Handing Over Report of 40,000m 2 Land for Andkhoy Substation

32 Annex-3 Sheet 2 of 6 Handing Over Report of 40,000m 2 Land for Andkhoy Substation English Translation of Sheet-1) Da Afghanistan Breshna Sherkat Balkh Breshna Sherkat Regional Authority - Andkhoy Breshna Sherkat Department Correspondence Office No: 38/30 Date: 20/Jun/2017 To DABS Respecting to PMO, Based on letter No(61566) dated: 02/Mar/2017 of Control Office and Budget Office of DABS, 20 Jirib (40,000m 2 ) land located in Joy Tawachi village of Andkhoy District belonging to Sayed Ekram son of Hasan Khwaja attorney of Hasan Khwaja son of Mohammad Azim heirs/heiress under supervision of the appointed board ( Representative of Andkhoy Municipality, Urban Development, Manager of Lands, representative of Andkhoy Agriculture Management and representative Andkhoy Breshna Sherkat) was handover officially to Andkhoy Breshna Sherkat. The document including proposal of this department regarding appointment of the board by Andkhoy District Governor, report of land handover, comment of the assigned board and croquis of the land within two pages attached to this letter presented to you for further process. Regards, Ghulam Sakhi Wakilzada Andkhoy Breshna Sherkat Director [Signed] Copies to: Andkhoy Municipality Department Andkhoy District Government DABS Finance and Administrative Department Andkhoy Lands Office Andkhoy Agriculture Office

33 Annex-3 Sheet 3 of 6 Annexure to Handing Over Report of 40,000m 2 Land for Andkhoy Substation

34 Annex-3 Sheet 4 of 6 Annexure to Handing Over Report of 40,000m 2 Land for Andkhoy Substation

35 Annex-3 Sheet 5 of 6 Handing Over Report of 40,000m 2 Land for Andkhoy Substation (English Translation of Sheet-3) Report Sub: Handover of 20 Jirib (40,000m 2 ) purchased land by Andkhoy Breshna Sherkat Department Location: North of Andkhoy Sheberghan road inside of Andkhoy East Developmental Project Date: 14/May/2017 Assigned board: Hameedullah representative of Agriculture Management, Abdul Rahman Amar Manager of Lands, Haji Mohammad Ismail Municipality technical employee, Engineer Abdul Shokoor Rahmani representative of Urban Development Authority, Ghulam Sakhi Wakilzada Director of Andkhoy Breshna Sherkat, Sayed Ekram attorney of Hasan Khawaja heirs/ heiresses. To Andkhoy District Government, Based on proposal of Andkhoy Breshna Sherkat Authority and guidance dated: 24/Apr/2017 of Andkhoy district government, the above mentioned board had been assigned for handover of 20 Jirib (40,000m 2 ) land from Hasan Khawaja son of Mula Azim heirs/ heiresses to Shahabudin son of Mula Chari, Finance Deputy of Andkhoy Breshna Sherkat for establishment of 220/110/20kv substation as per Jirib (2000m 2 ) 700,800 Afs in total amount of 14,016,000 Afs on date: 05/Feb/2017. The observation of the board stated as following: The above mentioned land bounded from four sides including a 20 meter road of Andkhoy Sheberghan up to the mentioned land bounded to the agricultural lands of the mentioned heirs/ heiresses. The mentioned land holding deed No: 6/202 dated: 01/Feb/2005 was sold by Sayed Ekram attorney of Hasan Khawaja heirs/ heiresses to Andkhoy Breshna Sherkat, the land is 20 Jirib (40,000m 2 ) and was traced and marked. Andkhoy Breshna Sherkat will pay the money to the seller in installment during the procedure of the land deed. The mentioned land after acquisition will be included in Andkhoy east developmental detailed plan and will be enlisted in municipality property, in the mentioned plan considering number (17) the specification of the map pertaining to Andkhoy new substation will be registered. The Croquis of the land prepared by municipality technical employee attached to this letter. The mentioned land was submitted to employee of Andkhoy Breshna Sherkat Mr. Amrudin son of Noor Din G/S/o Qamar Din holder of NIC: Volume: 2, Page: 156, Reg: 249, resident of Share Naw village, Andkhoy District. The procedures were accomplished in accordance with advice of Andkhoy District Governor and reported for further executions. Representative of Agriculture Management [Signed] Representative of Municipality Development [Signed] Representative of Andkhoy Breshna Sherkat heirs/heiress [Signed] Representative of Lands Office [Signed] Representative of Urban [Signed] Attorney of Hasan Khwaja [Signed]

36 Annex-3 Sheet 6 of 6 Handing Over Report of 40,000m 2 Land for Andkhoy Substation (English Translation of Sheet-4) Remarked! 15/May/2017 To Andkhoy Municipality and Andkhoy Breshna Sherkat Authorities, Execute in accordance with law and regulation. Sultan Sanjar Andkhoy District Governor [Signed]

37 Annex-4 Sheet I of 4 Letter Concerning Purchase Deed of Land for Andkhoy Substation

38 Annex-4 Sheet 2 of 4 Letter Concerning Purchase Deed of Land for Andkhoy Substation (English Translation of Sheet-1) Da Afghanistan Breshna Sherkat Balkh Breshna Sherkat Regional Authority - Andkhoy Breshna Sherkat Department No: 44/36 To DABS General Authority Respecting to PMO, Correspondence Office This is to follow our letter No (38) date: 20/Jun/2017. Date: 23/Aug/2017 Due to letter No: 9/10 dated: 23/Apr/2017 of Correspondence office of this department, Andkhoy primary court has prepared the legal deed No: 138/25 dated: 28/May/2017 for 20 Jirib (40,000m 2 ) land which is used for 220/110kv substation and ensured us through letter No: 89 dated: 15/Jun/2017. The legal deed attached to this letter and is sent to you further process. Regards, Ghulam Sakhi Wakilzada Andkhoy Breshna Sherkat Director Copy 45/37 to Breshna Sherkat Finance and Administrative Authority Copy 46/38 to Andkhoy municipality Copy 47/39 to Andkhoy district government Copy 48/40 to agency of Faryab urban development in Andkhoy Copy 49/41 to Andkhoy lands office Copy 50/42 to Andkhoy Agriculture office

39 Annex-4 Sheet 3 of 4 Legal Deed for Purchase of Land for Andkhoy Substation

40 Annex-4 Sheet 4 of 4

41 Legal Deed for Purchase of Land for Andkhoy Substation (English Translation of Sheet-3) Reg# Date:28/May/2017 Accomplishing date: General No: 25 Private No: 138 Identification of the Seller Name F/Name G/F/Name The above mentioned seller sold 20 Jirib (40,000m 2 ) land NIC No. Book: A, Reg: 715, Page:143, Sayed Ekram Hasan Mula Azim Khwaja which is located in Joy Tawachi bounded as following: To the north bounded by land of Hasan Khwaja son of Haji Khan heirs/heiresses, to the south bounded by road, to the east bounded by Haji Khan, to the west bounded by road. The above mentioned land has legal document and was sold in total amount 14,016,000 Afghani to Andkhoy Breshna Sherkat. Identification of the Buyer Name F/Name G/F/Name Shahabudin Mula Chari Shah Murad NIC No. Reg: 942, Page:191 Identification of the witnesses Name F/Name G/F/Name Murtaza Gul Khezr Mirza Bay Fazel M. Nabi Abed Rahim Shah